New York: JPMorgan Chase shuffled executives in its investment banking and consumer units on Thursday, giving them more experience running different businesses as Wall Street focuses on succession plans for CEO Jamie Dimon.
The largest U.S. lender has named Marianne Lake sole CEO of the consumer division, which was previously run jointly by Lake and Jennifer Piepszak, according to a filing.
Piepszak will become co-CEO of the firm’s merged commercial and investment bank alongside Troy Rohrbaugh, who previously led commercial and securities services.
“The expansion of Jennifer Piepszak’s role in commercial banking and investment banking gives her an edge in succession planning,” said Stephen Biggar, banking analyst at Argus Research. The latest move gives her broader experience after she co-founded the consumer business, he said.
Succession is focused across Wall Street. Morgan Stanley’s new CEO Ted Pick took over at the start of the year from James Gorman, who ran the bank for 14 years. Peter Orszag took the reins at Lazard in October. And other banks have rotated executives around divisions to give them a more rounded experience.
“The senior management changes and new alignments announced today will help the company serve clients even better as well as further develop the company’s most senior leaders,” JPMorgan said in the filing.
Dimon’s succession plans have long been the subject of speculation. In May, he signaled he could leave after 3-1/2 years. During his 18 years at the helm, several executives who were viewed as potential successors left to run other companies as Dimon stayed on longer than expected.
Piepszak has been with the bank for nearly three decades and was its chief financial officer from 2019 to 2021. She has held leadership roles in major units, serving as CEO of its card services and commercial banking divisions after spending 17 years climbing the ranks in investment. banking
Lake and Piepszak were among the executives charged with integrating failing First Republic Bank after JPMorgan acquired it last year.
Lake is a two-year veteran of the company, having been its chief financial officer from 2013 to 2019. She takes sole responsibility for the consumer division, which accounts for most of JPMorgan’s revenue, bringing in $18 billion in the fourth quarter.
Rohrbaugh, who traded currency options earlier in his career, received a larger waiver last year.
The bank’s trading markets exploded as the Federal Reserve raised interest rates, spurring market volatility and customer activity.
JPMorgan also announced numerous other leadership changes in the filing on Thursday.
Viswas Raghavan will become sole head of global investment banking, while his co-head Jim Casey will take on an unspecified new role at JPMorgan, to be announced shortly.
Jason Sippel and Pranav Thakur will become co-heads of business. Marc Badrichani, co-head of markets and securities services, will leave the bank.